Increased Government Scrutiny on Health Care Fraud Enforcement Due to COVID-19
Health care fraud enforcement has risen dramatically in the past decade in the United States. The government has taken down all kinds of doctors, pharmacists, and other executives in the pursuit of health care fraud enforcement. The COVID-19 pandemic has attracted an increasing number of fraudsters looking to profit off of the panic and confusion the world has faced. The pandemic has led to an unprecedented infusion of government money in many areas, including health care providers. As investigators “follow the money” they will inevitably uncover health care fraud related to COVID-19, which will only increase the focus on COVID-19 related health care fraud. The passing of the Coronavirus Aid, Relief, and Economic Security Act or CARES Act resulted in $130 billion in available money for healthcare practitioners. The government will likely keep a watchful eye on how CARES Act money in used, as health care practitioners are expected to use tax-payer dollars properly. Investigators will also likely focus on those looking to profit from COVID-19, selling unproven treatments or products. In all, the COVID-19 pandemic has opened the possibility to a variety of federal health care fraud cases and will likely result in increased scrutiny from the federal government.
COVID-19 FOCUSED PROSECUTIONS
The government has already started to indict those it believes are involved in COVID-19 related federal health care fraud. In a recent press release, a United States Attorney made the government’s position clear by saying, “now more than ever, the integrity of our health care system is paramount as we fight a global pandemic. We remain committed to rooting out and prosecuting any individual who would use this crisis as an opportunity to defraud individuals or the government.” The FBI has stated that as of May 28, 2020, their records show almost as many criminal complaints as they saw in the entirety of 2019. About 75% of these complaints are related to fraud. Fraudsters allegedly involved in schemes to sell counterfeit personal protective equipment (PPE) or fake COVID-19 treatments are facing prosecution already as the FBI has announced charges on various individuals from all parts of the country. The FBI has also narrowed a focus against those violating the Anti-Kickback Statute, a federal law that prohibits payment for referrals of federal health care program business. As the fallout from the pandemic continues, one thing to expect is the continued rise of COVID-19 focused prosecutions by the federal government.
HOW DOES THIS AFFECT ME?
If you are a health care provider has received money under the CARES Act, you might be at risk. Your actions with federal money can have catastrophic consequences. If you sold COVID-19 related treatments or PPE gear, you may face prosecution if your treatments are considered to be misleading or if your PPE gear turns out to be counterfeit. Health care providers at this time should be even more vigilant in how they operate their businesses because of the expected rise of COVID-19 related health care fraud. If you have any questions related to COVID-19 related health care issues, then it is important to speak to an experienced federal health care fraud attorney immediately. It is your responsibility to know how the law applies to you and your business. Ignorance of the law is not a defense when dealing with federal health care fraud, as investigators, prosecutors, and judges will not give you a break just because you did not understand what you were doing.
